Keurig Dr Pepper (NASDAQ:KDP) Shares Gap Up Following Strong Earnings

Keurig Dr Pepper Inc. (NASDAQ:KDP) gapped up before the market opened on Thursday following a stronger than expected earnings report. The stock had previously closed at $32.34, but opened at $33.95. Keurig Dr Pepper shares last traded at $33.56, with a volume of 2,772,037 shares changing hands.

The company reported $0.38 EPS for the quarter, topping analysts’ consensus estimates of $0.34 by $0.04. Keurig Dr Pepper had a net margin of 14.72% and a return on equity of 9.93%. The business had revenue of $3.47 billion for the quarter, compared to analysts’ expectations of $3.41 billion. During the same quarter last year, the company earned $0.34 EPS. The business’s revenue was up 3.4% on a year-over-year basis.

Keurig Dr Pepper Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Friday, April 12th. Investors of record on Friday, March 29th were paid a $0.215 dividend. The ex-dividend date was Wednesday, March 27th. This represents a $0.86 dividend on an annualized basis and a yield of 2.55%. Keurig Dr Pepper’s dividend payout ratio is currently 55.48%.

Wall Street Analyst Weigh In

KDP has been the topic of a number of research analyst reports. TD Cowen lifted their price target on shares of Keurig Dr Pepper from $32.00 to $35.00 and gave the company a “hold” rating in a research note on Friday. Jefferies Financial Group dropped their price target on shares of Keurig Dr Pepper from $37.00 to $35.00 and set a “buy” rating on the stock in a research note on Wednesday, March 27th. Barclays raised their price objective on Keurig Dr Pepper from $32.00 to $36.00 and gave the company an “overweight” rating in a report on Friday, April 12th. Royal Bank of Canada decreased their price objective on Keurig Dr Pepper from $42.00 to $41.00 and set an “outperform” rating on the stock in a report on Friday, February 23rd. Finally, Morgan Stanley decreased their price objective on Keurig Dr Pepper from $37.00 to $34.00 and set an “equal weight” rating on the stock in a report on Monday, February 26th. Five research analysts have rated the stock with a hold rating and seven have assigned a buy rating to the company’s stock. According to MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average price target of $36.33.

Insider Transactions at Keurig Dr Pepper

In other news, major shareholder Holdings B.V. Jab sold 13,043,478 shares of Keurig Dr Pepper stock in a transaction on Friday, March 15th. The stock was sold at an average price of $28.90, for a total transaction of $376,956,514.20. Following the transaction, the insider now owns 283,443,879 shares in the company, valued at approximately $8,191,528,103.10. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. In other news, major shareholder Holdings B.V. Jab sold 13,043,478 shares of Keurig Dr Pepper stock in a transaction on Friday, March 15th. The stock was sold at an average price of $28.90, for a total transaction of $376,956,514.20. Following the transaction, the insider now owns 283,443,879 shares in the company, valued at approximately $8,191,528,103.10. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, CFO Priyadarshi Sudhanshu purchased 85,910 shares of Keurig Dr Pepper stock in a transaction dated Tuesday, March 5th. The shares were bought at an average price of $29.10 per share, for a total transaction of $2,499,981.00. Following the acquisition, the chief financial officer now owns 218,566 shares in the company, valued at $6,360,270.60. The disclosure for this purchase can be found here. Insiders have sold a total of 100,012,132 shares of company stock worth $2,890,354,861 in the last quarter. Company insiders own 0.81% of the company’s stock.

Institutional Trading of Keurig Dr Pepper

Several institutional investors and hedge funds have recently bought and sold shares of KDP. AE Wealth Management LLC raised its holdings in Keurig Dr Pepper by 3.9% in the 3rd quarter. AE Wealth Management LLC now owns 28,992 shares of the company’s stock valued at $915,000 after buying an additional 1,093 shares during the period. IFP Advisors Inc raised its holdings in Keurig Dr Pepper by 271.5% in the 3rd quarter. IFP Advisors Inc now owns 4,852 shares of the company’s stock valued at $153,000 after buying an additional 3,546 shares during the period. Caprock Group LLC raised its holdings in Keurig Dr Pepper by 10.1% in the 3rd quarter. Caprock Group LLC now owns 18,192 shares of the company’s stock valued at $578,000 after buying an additional 1,676 shares during the period. CX Institutional grew its position in Keurig Dr Pepper by 6.2% in the 3rd quarter. CX Institutional now owns 8,483 shares of the company’s stock valued at $268,000 after acquiring an additional 492 shares in the last quarter. Finally, Czech National Bank grew its position in Keurig Dr Pepper by 76.3% in the 3rd quarter. Czech National Bank now owns 175,833 shares of the company’s stock valued at $5,551,000 after acquiring an additional 76,125 shares in the last quarter. 85.23% of the stock is currently owned by hedge funds and other institutional investors.

Keurig Dr Pepper Stock Performance

The company has a market capitalization of $46.79 billion, a price-to-earnings ratio of 21.75, a P/E/G ratio of 2.46 and a beta of 0.66. The company has a debt-to-equity ratio of 0.39, a quick ratio of 0.25 and a current ratio of 0.38. The firm has a 50-day simple moving average of $30.41 and a two-hundred day simple moving average of $31.08.

About Keurig Dr Pepper

Keurig Dr Pepper Inc owns, manufactures, and distributors beverages and single serve brewing systems in the United States and internationally. It operates through three segments: U.S. Refreshment Beverages, U.S. Coffee, and International. The U.S. Refreshment Beverages segment manufactures and distributes branded concentrates, syrup, and finished beverages.